
Phaver Social Media App Shuts Down as $SOCIAL Token Falls 99%
In a shocking turn of events, Phaver, the Web3-based social media app, has officially ceased operations. The platform’s native token, $SOCIAL, has plummeted in value, falling a staggering 99% since its initial Token Generation Event (TGE) in September 2024.
The downfall of Phaver is a cautionary tale of poor financial management and technical setbacks. Despite initially gaining traction with over 800,000 downloads and maintaining around 35,000 daily active users, the platform’s leadership made several costly decisions that ultimately led to its demise.
The journey began with the TGE, where users faced long delays in claiming their tokens due to technical issues in the portal. This sparked widespread distrust among the community, leading to a rapid decline in user trust and subsequently, a sharp drop in the value of $SOCIAL.
Despite this, Phaver’s leadership opted for expensive exchange listings on five centralized exchanges, including Bybit, KuCoin, and Gate. Unfortunately, these costly moves failed to generate the expected liquidity or sustained trading activity, instead putting immense pressure on the platform’s already limited financial resources.
Adding insult to injury, Phaver’s decision not to sell tokens during the TGE left the company without sufficient operational funds at a critical juncture. As a Finnish-based entity, Phaver was still obligated to pay employees during their notice period, further exacerbating its cash flow crisis.
The swift collapse of Phaver has undoubtedly disappointed investors and members of the community who had high hopes for the platform’s innovative approach to decentralized social networking. Despite this, some former team members have chosen to persevere by launching SocialDAO, a new project aimed at reviving $SOCIAL through the integration of artificial intelligence and decentralized finance features.
The article was originally published on cryptonewsland.com
Source: https://cryptonewsland.com/phaver-social-media-app-shuts-down-as-social-token-falls-99/